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Lean Management

Lean management originated in post-war Japan with the Toyota Production System (TPS) aimed at eliminating waste and maximizing customer value. It has since evolved to encompass various industries and emphasizes continuous improvement through methods like Kaizen, 5S, and Value Stream Mapping. The core principle of lean is to identify and eliminate non-value adding activities to create a more efficient and flexible process.

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0% found this document useful (0 votes)
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Lean Management

Lean management originated in post-war Japan with the Toyota Production System (TPS) aimed at eliminating waste and maximizing customer value. It has since evolved to encompass various industries and emphasizes continuous improvement through methods like Kaizen, 5S, and Value Stream Mapping. The core principle of lean is to identify and eliminate non-value adding activities to create a more efficient and flexible process.

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Lean Management

The story of lean management is rooted in post-war Japan, where Toyota, facing resource
constraints, aimed to create a more efficient production system. Taiichi Ohno, a Toyota engineer, is
considered the father of lean manufacturing. He devised the Toyota Production System (TPS),
which focused on eliminating waste and maximizing value for the customer.Lean principles were
later popularized in the West by researchers who studied TPS. They coined the term "lean" to
describe this approach to manufacturing. Today, lean management is applied beyond
manufacturing to various industries, including healthcare and software development.

What is Lean?

Make Everything Simpler, Easier, Faster & Flexible. Lean is Simple, Fun & Exciting. “Our goal is for
everything to be struggle-free—or to have zero struggle in every activity.” – Paul Akers

3M Example

Suppose that a firm needs to transport 900kg of material to its customer and is considering its
options. • Truck available with a max payload of 500kg.

Wastes

Waste is found in every process everywhere at every level of the organization

Types of wates

VA : Anything that adds value as perceived by the consumer is termed Value Adding (VA).
NVA : Anything that doesn’t add value as perceived by the consumer is Non Value Adding (NVA) or
Waste

In non-lean value streams significantly more than 90% of the activity and resource is NVA.

Finding the waste component is not a burden, it’s a game – a giant scavenger hunt.

“Lean is about continually eliminating the waste that’s involved in everything you do in your life to
have a continuous flow without interruptions.”

8 Deadly sins of waste

How to find a waste:

1) Go to GEMBA

2) Observe the process

3) Breakdown the entire process into steps

4) Critically examine the recorded facts

5) Classify work step into VA & NVA


How to eliminate Waste?

1.Kaizen

Teaching & Training people and building Continuous improvement culture

• Nothing is good enough

• There are always ways in which a process can be improved.

• An organization should constantly strive to make those improvements.

2.5S+1

5S provide a methodology for organizing, cleaning, developing, and sustaining a productive work
environment.

It is an Organizational Culture

3.Value stream Mapping [Macro view of entire work system]

Values Stream Mapping is a process of creating a single sheet overview of all the process involved in
whole supply chain (plant), from the moment the customer places the order for a product, until the
customer has received that product in their facility.

The value stream is the entire set of activities required to bring a product or service into the hands of
the customer

4.SMED

A theory and technique for performing changeover in under ten minutes.

• It is an entirely new way of thinking about production.

Developed by Shigeo Shingo, a Japanese industrial engineer

• Started experiments with Toyo Kogyo’s Mazda plant in 1950.

• Development took nineteen years.

• Finishing touches were stimulated by Toyota Motor Company.

• Shingo reduced Press changeover times from 10 –12 hours to less than 10 minutes

How to perform SMED

Separate Internal & External Activities

Internal Activity : Activities that must be performed while the machine is stopped or idle

External Activity : Activities that can be performed while the machine is running or producing

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